2007 (7) TMI 249

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....accounts or details of loans/withdrawals were filed with the return of income that was taken as the basis to attribute failure of the assessee to disclose fully and truly the material facts? Whether, on the facts and circumstances of the case, the hon'ble Tribunal was legally justified in holding that the reopening of assessment under section 147(a) of the Act is bad in the eye of law because it is nothing but change of opinion?" 2. The reference relates to the assessment years 1979-80, 1980-81 and 1982-83. 3. The respondent-assessee is the managing director of M/s. Talwar and Khullar (P.) Ltd., a company incorporated under the Companies Act, 1956. In the original assessment proceedings for the aforementioned three years the respondent-a....

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....ld not have been made at all. 4. We have heard Sri Shambhu Chopra, learned counsel for the Revenue, and Sri R. S. Agrawal, learned counsel for the respondent-assessee. 5. Sri Chopra, learned counsel for the Revenue, submitted that it has come on record that the respondent had not filed the accounts to show the amount which was standing in his name in the company, namely, M/s. Talwar and Khullar (P.) Ltd., nor has he disclosed how much advances/loan had been taken by him from the said company. It is the case of failure or omission on the part of the respondent-assessee to disclose fully and truly all material facts necessary for making of the assessment as under section 2(22)(e) of the Act such advances have to be treated as deemed income ....